Lebanon School Finances

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The data in the following five tables was used in an effort to analyze the 2004 budget for the Lebanon Community School Corporation.

Lebanon Community School Corporation
Property Tax Rates and Levies
(compiled September 1, 2003)

	Collected	Collected	Collected	Collected	Collected
	2000	2001	2002	2003	2004

ASSESSED VALUATION	167,390,581	168,869,871	538,031,362	561,513,147	561,513,147

Rate - General Fund	2.5756	2.6744	0.9072	0.9039
Rate - Debt Service Fund	2.0403	2.3104	0.6242	0.7719
Rate - Capital Projects Fund	0.9535	1.0151	0.3631	0.3580
Rate - Transportation Fund	0.6150	0.5524	0.1652	0.1707
Rate - School Bus Replacement Fund		0.1112	0.0311	0.0372
Rate - Special Education Preschool Fund	0.0100	0.0100	0.0033	0.0033
TOTAL PROPERTY TAX RATE	6.1944	6.6735	2.0941	2.2450

Levy - General Fund	4,311,312	4,516,256	4,881,021	5,075,517	6,044,146
Levy - Debt Service Fund	3,415,270	3,901,569	3,358,392	4,334,320	4,717,334
Levy - Capital Projects Fund	1,596,069	1,714,198	1,953,592	2,010,217	1,937,141
Levy - Transportation Fund	877,711	932,637	888,828	958,503	1,082,066
Levy - School Bus Replacement Fund	89,647	187,783	167,328	208,883	253,814
Levy - Special Education Preschool Fund	16,739	16,887	17,755	18,530	30,369
TOTAL PROPERTY TAX LEVY	10,306,748	11,269,330	11,266,916	12,605,970	14,064,870
Total Student Enrollment	3,265	3,442	3,351	3,352	3,352
Levy Per Student	$3,156	$3,274	$3,362	$3,760	$4,195
LPS Increase From Prior Year		3.73%	2.68%	11.83%	11.57%
Consumer Price Index	172.4	178.0	179.9	183.7	186.7
CPI Increase From Prior Year		3.24%	1.06%	2.11%	1.63%

Sources: Annual Financial Reports and Budget dated August 12, 2003

Notes:
1. Estimated 2003 and 2004 Total Student Enrollment = (3,351+3,442+3,265) / (3) = 3,352
2. Average 2000-03 Consumer Price Index Increase = (183.7-172.4 / 172.4)(100) / (4) = 1.63%
3. Estimated 2004 Consumer Price Index = (183.7)(1.0163) = 186.7

Lebanon Community School Corporation
Calendar Year Receipts
(compiled August 31, 2003)

Receipt Accounts	2000	2001	2002	2003	2004

General Fund
Local Sources	5,357,816	5,442,887	5,695,116
State Sources	11,050,274	11,690,122	11,615,493
Intermediate Sources	3,449	598	0
Sale of Prop., Adjust., Refunds	1,100,445	12,965	38,315
Transfers	130,039	0	0
SUBTOTAL General Fund	17,642,023	17,146,572	17,348,924

Debt Service Fund
Local Sources	3,983,425	4,513,260	3,918,531
State Sources	117,563	120,179	119,049
SUBTOTAL Debt Service Fund	4,100,988	4,633,439	4,037,580

Capital Projects Fund
Local Sources	1,861,587	1,983,088	2,287,226
Transfers	0	224	0
SUBTOTAL Capital Projects	1,861,587	1,983,312	2,287,226

School Transportation Fund
Local Sources	(34,049)	1,080,060	1,037,768
State Sources	76,987	76,498	73,355
Sale of Prop., Adjust., Refunds	1,584	1,652	635
Transfers	1,053,169	0	0
SUBTOTAL School Transport.	1,097,691	1,158,210	1,111,758

School Bus Replacement
Local Sources	0	216,988	195,235
Transfers	182,075	0	0
SUBTOTAL School Bus Repl.	182,075	216,988	195,235

Special Education Preschool
Local Sources	21,643	21,657	22,085
State Sources	65,761	90,363	74,745
SUBTOTAL Special Ed. Pre.	87,404	112,020	96,830

TOTALS
Local Sources	11,190,422	13,257,940	13,155,961
State Sources	11,310,585	11,977,162	11,882,642
Intermediate Sources	3,449	598	0
Sale of Prop., Adjust., Refunds	1,102,029	14,617	38,950
Transfers	1,365,283	224	0
TOTAL RECEIPTS	24,971,768	25,250,541	25,077,553
Total Student Enrollment	3,265	3,442	3,351
Receipts Per Student	$7,648	$7,336	$7,483
RPS Increase From Prior Year		(4.07%)	2.00%
Consumer Price Index	172.4	178.0	179.9	183.7
CPI Increase From Prior Year		3.24%	1.06%	2.11%

Sources:
A. 2000-2002 Actual Receipts and Total Student Enrollment: Annual Financial Reports
B. Consumer Price Index: http://www.finplaneducation.net/consumer_price_index.htm

Lebanon Community School Corporation
Calendar Year Expenditures
(compiled August 31, 2003)

Expenditure Accounts	2000	2001	2002	2003	2004

General Fund
Instruction / Regular Programs	7,664,065	8,204,502	8,512,945	8,926,595	9,761,303
Instruction / Special Programs	1,025,187	1,026,260	1,105,145	1,016,050	996,950
Instruction / Summer School	58,410	116,616	101,596	52,200	52,200
Remediation Programs	50,203	93,204	37,092	107,500	107,500
Support Services / Pupils	531,885	530,011	573,378	533,700	533,000
Support Services / Inst. Staff	288,988	282,048	261,874	300,815	291,835
Support Services / Gen. Admin.	341,278	410,792	437,078	434,400	462,650
Support Services / School Admin.	888,066	911,521	918,925	952,750	939,750
Support Services / Business	2,035,148	2,346,404	2,384,405	2,724,651	3,138,273
Support Services / Central	2,704,730	2,952,939	3,466,911	3,178,839	3,306,826
Adult / Continuing Ed. Programs	498	5,861	6,095	10,500	10,500
Nonprogrammed Charges	533,340	548,459	559,078	452,000	435,800
SUBTOTAL General Fund	16,121,798	17,428,617	18,364,522	18,690,000	20,036,587

Debt Service Fund
Debt Services	4,104,742	4,519,090	4,068,666	4,964,555	5,323,957
SUBTOTAL Debt Service Fund	4,104,742	4,519,090	4,068,666	4,964,555	5,323,957

Capital Projects Fund
Professional Services					24,000
Bldng Acquisition, Constr., Impr.				809,000	1,060,700
Sports Facility				40,000	105,250
Rental of Bldngs, Grounds, Equip.				512,550	530,000
Purchase of Mobile/Fixed Equip.				342,500	302,100
Emergency Allocation				65,000	65,000
Maintenance of Equipment				319,176	415,700
Transfer to General Fund				176,474
Support Services / Business	2,149,807	2,497,676	2,250,261
SUBTOTAL Capital Projects	2,149,807	2,497,676	2,250,261	2,264,700	2,502,750

School Transportation Fund
Support Services / Business	953,430	960,956	1,040,844	1,008,800	1,111,950
Support Services / Central	117,628	140,416	148,744	168,000	165,000
SUBTOTAL School Transport.	1,071,058	1,101,372	1,189,588	1,176,800	1,276,950

School Bus Replacement
Support Services / Business	157,425	213,710	210,656	240,000	291,000
SUBTOTAL School Bus Repl.	157,425	213,710	210,656	240,000	291,000

Special Education Preschool
Instruction / Special Programs	95,165	100,244	70,978	84,750	156,325
SUBTOTAL Special Ed. Pre.	95,165	100,244	70,978	84,750	156,325

TOTAL EXPENDITURES	23,699,995	25,860,709	26,154,671	27,420,805	29,587,569
Total Student Enrollment	3,265	3,442	3,351	3,352	3,352
Expenditures Per Student	$7,258	$7,513	$7,805	$8,180	$8,826
EPS Increase From Prior Year		3.51%	3.88%	4.80%	7.89%
Consumer Price Index	172.4	178.0	179.9	183.7	186.7
CPI Increase From Prior Year		3.24%	1.06%	2.11%	1.63%

	2000	2001	2002	2003	2004

Sources:
A. 2000-2002 Actual Expenditures and Total Student Enrollment: Annual Financial Reports
B. 2003 Budgeted Expenditures: Budget dated August 6, 2002
C. 2004 Budgeted Expenditures: Budget dated August 12, 2003
D. Consumer Price Index: http://www.finplaneducation.net/consumer_price_index.htm

Notes:
1. Estimated 2003 and 2004 Total Student Enrollment = (3,351+3,442+3,265) / (3) = 3,352
2. Average 2000-03 Consumer Price Index Increase = (183.7-172.4 / 172.4)(100) / (4) = 1.63%
3. Estimated 2004 Consumer Price Index = (183.7)(1.0163) = 186.7

Lebanon Community School Corporation
Calendar Year Statement of Long-Term Indebtedness
(outstanding encumbrances* excluded)
(compiled August 31, 2003)

	Principal Outstanding
Long-Term Indebtedness	2000	2001	2002	2003	2004

Holding Company - Public & Private	31,967,442	30,042,442	28,032,442
Common School Loans	1,550,748	1,403,058	1,255,368
School Bonds	275,000	0	0

TOTAL INDEBTEDNESS	33,793,190	31,445,500	29,287,810

*encumbrances include purchase orders, vendor contracts, letters of commitment, leases

Sources: Annual Financial Reports

Lebanon Community School Corporation
Calendar Year Student Enrollment and Employment
(compiled August 31, 2003)

Enrollment By Grade
Grade	2000	2001	2002
Prekindergarten	14	11	0
Kindergarten	268	249	276
Grade 1	267	272	264
Grade 2	275	265	271
Grade 3	264	278	271
Grade 4	258	255	285
Grade 5	253	252	253
Grade 6	287	271	247
Grade 7	272	276	272
Grade 8	231	269	286
Grade 9	262	253	291
Grade 10	234	236	222
Grade 11	207	207	225
Grade 12	173	189	188
Post Graduates	0	159	0
TOTAL ENROLLMENT	3,265	3,442	3,351

Employment By Type
Type	2000	2001	2002
Certified Part-Time	4	3	5
Certified Full-Time	207	170	207
Noncertified Part-Time	15	33	45
Noncertified Full-Time	165	165	160
Administrative Staff	14	14	14
TOTAL EMPLOYMENT	405	385	431

Students Per Certified Full-Time Employee	15.77	20.24	16.18
Students Per Noncertified Employee	18.13	17.38	16.34
Students Per Administrative Staff	233.21	245.85	239.35

Sources: Annual Financial Reports

The mission statement for the Lebanon Community School Corporation is to "Create and nurture an environment that expects all students will learn." This mission statement is fine for the School Superintendent, but it is insufficient for the Lebanon School Board members. Because they are elected representatives, the School Board members cannot be just education advocates - they also have to be taxpayer advocates who determine what resources the community can reasonably provide to educate our children.

Watchdog Lebanon is not convinced the 2004 budget is reasonable. As published, there are exorbitant property tax levy and total expenditure increases.

The $14,064,870 property tax levy in the published 2004 budget is a whopping 11.75 percent increase from 2003. This comes after the published 2003 property tax levy increased an incredible 11.83 percent from the prior year.

The $29,587,569 expenditures total in the published 2004 budget is a 7.90 percent increase from 2003. This huge increase comes after a total expenditures per student increase from 2000 to 2003 that was 1.93 times more than inflation increased.

The School Superintendent states the double digit property tax levy increase published for 2004 is meant to be artificially high to somehow protect the school system from undesirable cuts that might come about from actions taken by the Department of Local Government Finance. However, the Superintendent did not have an answer when asked for the reduced 2004 property tax levy total that is a desirable outcome from the Department of Local Government Finance. One gets the impression the school system is poised to gratefully accept any exorbitant property tax levy increase approved by the Department of Local Government Finance after receiving certified assessed valuations. This exorbitant increase would be driven by the artificially high tax levy published for 2004.

The Lebanon School Board has a pretty good record of controlling total property tax levy increases the past couple of years. The average annual total property tax levy per student increase from 2000 to 2002 was 3.26 percent, which compares reasonably well to the average 2.17 percent inflation increase for the same time period.

Watchdog Lebanon does not yet have the intimate knowledge of the Lebanon Schools budget necessary to make logical budget cut recommendations. Analysis of the 2004 budget is made more difficult by reassessment and the 30.85 percent increase in debt service payments since 2002. Even though the excessive published 2004 property tax levy increase is dismaying, Watchdog Indiana is putting its faith in the Lebanon School Board to do what is necessary limit the 2004 property tax levy increase to a reasonable amount.

The School Superintendent does agree the common practice of publishing artificially high budgets is misleading to the public and a crummy way of doing business. If he gets his assessed valuation data before August 1 next year, as is required by state law, the School Superintendent promises to recommend a real budget with no artificial increases. This will bring much needed transparency to the budget process.

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This page was last updated on 03/19/10 .